Mexico: Selected Issues
International Monetary Fund, Feb 13, 2009 - Business & Economics - 18 pages
This Selected Issues paper on Mexico presents econometric investigation of the cyclical determinants of remittances to Mexico. The aggregate U.S. business cycle is not necessarily relevant for remittances. Remittances to Mexico do show a significant relationship with employment conditions in certain regions of the United States. Employment conditions in the U.S. construction sector seem to be especially important as well as remittances for certain regions of Mexico with high rates of emigration, and for many low-income households where they may constitute a sizable share of total income.
What people are saying - Write a review
We haven't found any reviews in the usual places.
2008 Lehman Brothers aggregate U.S. business balance sheet banking soundness Bloomberg California call option capture Comerci CONDITIONS FOR REMITTANCES correlation credit risk indicators Currency derivative currency-based structures decline in Mexican-weighted demand for dollars derivative positions derivatives losses domestic currency employment conditions equity market especially important estimated credit risk EXCHANGE RATE EXPOSURE explain fluctuations exporter exposure to peso external shocks firms in Mexico fluctuations in remittances global hedging heterogeneity IMF’s implied volatility Individual Banks leading indicators Linkages losses on currency macro-financial factors macro-financial variables market participants market volatility Mexican banking sector MEXICAN CORPORATE SECTOR Mexico and Brazil notional amounts NPLs number of large overall U.S. potential put options recent remittances respond remittances to Mexico respond positively risk reversal measure Selected Issues send remittances sign that remittances Souto stock market stock prices stylized facts systemic risk transactions U.S. business cycle U.S. construction sector U.S. dollar U.S. to Mexico vulnerability